Ocwen’s ‘Convenience Fees’ Violated Fair Debt Collection Law

Ocwen Loan Servicing LLC violated the Fair Debt Collection Practices Act through the use of the Speedpay payment processing service, by charging “convenience fees” to consumers who effectively have no option other than to use it, the Eleventh Circuit said Tuesday.

Ocwen is a debt collector that charged an amount not “expressly authorized” by the agreement creating the debt or which was permitted by law, Judge Charles R. Wilson said for the court.

After plaintiffs Cathy Booze and Sheryl Glover defaulted on their mortgage loans, Ocwen acquired the loans’ servicing rights and gave them an option to make expedited payments ...